In a continuation of the trend observed in recent months, US retail investors are increasingly turning away from exchange-traded funds (ETFs) and opting for single-name exposure in the technology sector. According to UBS’s US retail market making clients, there were $4 million in inflows on Tuesday, with semiconductor names leading the way.

Micron Technology, Nvidia, and Intel were the most actively traded names across the platform, accounting for a significant portion of the total volume executed. Notably, these three stocks also recorded the largest net sells, with Micron ($21 million outflows), Nvidia ($9 million), and INTC ($8 million) leading the way.

Interestingly, as investor appetite for semiconductors has grown, ETF flows have declined significantly. According to UBS, ETFs accounted for just 20% of executed volume on Tuesday, marking the lowest share of 2026. This shift towards single-name exposure highlights investor confidence in these companies and their ability to deliver growth in a rapidly evolving industry.

The reasons behind this trend are multifaceted. One possible explanation is that retail investors are becoming more sophisticated in their investment strategies, seeking to avoid the perceived risks associated with ETFs and instead opting for direct exposure to individual stocks. Another factor could be the increasing popularity of thematic investing, where investors seek to gain exposure to specific industries or sectors rather than broad market indices.

Whatever the reasons, it is clear that US retail investors are becoming more discerning in their investment choices and are willing to take on single-name risk in pursuit of higher returns. As the technology sector continues to evolve and innovate, it will be interesting to see how this trend plays out in the coming months and years.